Thor Energy PLC (AIM:THR, OTCQB:THORF, ASX:THR) told investors it has kicked off drilling programmes at the Wedding Bell and Radium Mountain projects in southwest Colorado, in a region recognized historically for uranium-vanadium mining.
The projects, located within the ‘Uravan mineral belt, will see some 4,000 metres of drilling in the coming weeks as the AIM-quoted explorer tests targets identified previously through airborne surveying.
It comes as spot uranium prices are spiking to 12 year highs, to around $73 per pound, the company noted, up over 50% in the year to date – as rising geopolitical tensions and long-term demand trends see uranium as an increasingly significant ‘strategic and critical’ commodity.
As Thor’s drill programme advances the company intends to keep the market updated as it conducts downhole gamma surveying throughout the programme.
Thor told investors to expect these downhole results through October and November, during drilling, whilst the programme itself is expected to be completed after four to six weeks – so by the end of November – and the company said to expect more detailed results in December and January for any samples sent to the lab.
"Thor is encouraged by the growth opportunities in the uranium sector, with the uranium spot price at a 12-year high, supported by strong supply and demand fundamentals,” Thor managing director Nicole Galloway Warland said in a statement.
“This aligns with our strategic focus on energy metals and our commitment to advancing our USA uranium projects."
In London, Thor Energy shares were up around 7% changing hands at 1.61p in Wednesday morning’s deals. Elsewhere, in Australia, the shares were up 13% at 2.6 cents each.